International Media Watch of news headlines and current affairs reports about Romania

Monday, June 20, 2011

Romania to sell Petrom stake by end-July

BUCHAREST, June 17 (Reuters) - Romania plans to sell a 9.8 percent stake in its top oil and gas company Petrom , majority owned by Austria's OMV , by the end of July, Economy Minister Ion Ariton said on Friday.

The sale is part of a government plan to raise some 2.9 billion lei ($971 million) this year on the Bucharest bourse, according to the terms of agreements with the International Monetary Fund and other lenders. .

"We're in an advanced stage and probably towards the end of July the transaction will be made," Ariton was quoted as saying by state news agency Agerpres.

"The price will be approved by the government after consultants finish their evaluation."

Romania owns a 21 percent stake in Petrom. Fondul Proprietatea , an investment fund set up to compensate Romanians whose assets were seized under communism, owns another 20 percent.

The group advising on the secondary public offering of shares is made up of Renaissance Capital Limited, EFG Eurobank Securities, BT Securities and Romcapital SA.

Officials have previously said the sale was expected to fetch more than 500 million euros ($718 million).